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Expanding Paid Sick Leave Raises Concerns

What is Senate Bill 616 (SB 616)?

Senate Bill 616 is an amendment to the Labor Code that would expand paid sick leave for employees. Employers would be required to give no fewer than 56 hours (7 days) of annual paid sick leave, with the ability to carry over no more than 56 hours of paid sick leave into the next year of employment. The Labor Code currently allows for employees to accrue up to 48 hours (6 days) of paid sick leave before capping. SB 616 proposes to increase the accrual cap from 48 hours to 112 hours (14 days).

What is Senate Bill 881 (SB 881)?

Senate Bill 881 is drafted to counter SB 616, which outlines benefits for both employees and employers as it increases paid sick leave from 3 to 5 days and addresses significant existing compliance struggles for employers.

With attempts to expand paid sick leave since 2019, SB 881 is a counter proposal that not only addresses the inconsistency and confusion

of local ordinances for employers that operate in multiple jurisdictions, but also addresses documentation prohibitions against employers.

According to the California Chamber of Commerce (CalChamber), employers struggle with employees using paid sick leave for non-statutory purposes. SB 881 would allow employers to request documentation if an employee is out for 3 or more consecutive days. SB 881 would also require paid sick leave to be paid at the employee’s regular rate of pay.

SB 616 has been identified by CalChamber as a Job Killer.

The IVRCC has signed on in Support SB 881, which is the counter proposal to SB 616.

To read the complete text of SB 616, click here.

To read the complete text of SB 881, click here.

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